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Why the big 3 put too many cars on the lot Carefully read the following...

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Accounting

Why the big 3 put too many cars on the lot

Carefully read the following article: Week 3 Why The Big Three Put Too Many Cars On The Lot

In your own words explain why managers would intentionally decide to produce more cars than they could sell.

How can the cost method used change the costs that are actually incurred?

Could other cost method choices like Activity Based Costing similarly change the costs that are incurred?

What is the cost of idle capacity and how would absorption and variable costing differently account for these costs?

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